MSRP/Discount

Tyrolian · May 15, 2005

Hello All,

I'm new to this forum and I'm planning to buy a BX 23 soon.
Here is my question: when the dealer gives you the list price for your package, how much discount can you ask for or expect?
I'm not much of a haggler and I DO know that in the RV market you can expect a 25% discount any time.

Thanks for your replies,

Thomas /forums/images/graemlins/confused.gif

Bird · May 15, 2005

Welcome to Tractorbynet, Thomas. I think something like 15% is a good deal, and if you get 20% off MSRP, you got a really great deal with tractors; not nearly as much markup as with RVs. But since tractors don't come with a MSRP sticker, you might need to know whether that's actually the price quoted by the dealer. In many cases, the tractor dealer may start by quoting a lower price than the MSRP. I guess you also know that some RVs don't come with price stickers from the manufacturer, while others do. And on those that do not, some dealers make up one of their own that looks like it came from the manufacturer. I think with RVs, even more than with tractors, you need to know what you're doing when you negotiate a price. I met one couple with a motorhome, about 13 years ago, for which they paid $120,000. Then they found that many dealers routinely sold the same make, model, and accessories for $80,000. They really knew they'd been had, but not a thing they could do about it. In fact, I had visited that manufacturer's factory and learned that they would not tell anyone anything about prices; just to contact a dealer.

TobyH · May 15, 2005

I do know that the tractors on the showroom floor do not belong to the dealer but to the manufacturer. After the dealer has had the tractor for 3 months he begins to pay the manufacturer interest. So if you see a tractor hanging around for a while, you might be able to work a deal.

froggy · May 15, 2005

And I thought some car dealers were bad!

Tyrolian · May 15, 2005

Thanks guys,

Actually, in the RV business you ask for the Manufactuers order form and it tells you exactly what the MSRP including options is. SO, if a dealer would only show his rigged price sheet, he wouldn't sell many RVs.
But your input certainly gave me a guideline.
The first dealer I went to actually gave me all the the list prices of the accessories out of a book, and the price for the BX 23.... $ 17,300.

Thomas

willywildes · May 15, 2005

welcome to the fourm.if you fill out your profile, there is most likely someone that lives by you and will turn you on to the good dealers in you area. you might want to put this post in the Kubota buying section. Good luck

gmsssi · May 15, 2005

I've been doing a good bit of shopping and 15-20% is about right!

JWKnopp · May 15, 2005

In South Jersey we are paying 15,995 before taxes for a BX23. Is this reasonable?

seapea · May 16, 2005

I starting shopping for a bx23 a few weeks ago, although not too aggressively. Here is my experience:

Dealer #1: I was completely naive about tractors at the time. Started off looking at the bx1500, which had a special "demo days" discount of $9999. I've since realized that although below MSRP, this is hardly a good deal.

Dealer #2: I went in still fairly naive, but knowing I was mostly interested in a BX23. After spending about an hour with the dealer, he quoted $16,745. We chatted a bit more, and then I simply said I would get back to him (no attempt to bargain).

Dealer #1 again: I had spent some time on TBN since my previous visit. Called him up and reminded him I had looked at the BX1500 about a week before. Not sure if he remembered me. Said I'd like a quote on a BX23. He quoted $17,600. I said that sounded like MSRP, and my web research had shown most buyers are getting 15% or more of MSRP. He then came down to $15,900. I left it at that and said I'd call him back if interested.

Dealer #3: Told him I was "shopping around" for a BX23. Told him where I lived. This dealer is about 70 miles away, whereas dealers 1 and 2 are 30, so he knew he was probably not my first choice in terms of location. He quoted $15,500, and was also 20% cheaper on the tiller quote than Dealer #2.

So that's were I'm at now. I haven't really put the screws to any of the dealers yet, and I'm down to $15,500. Unfortunately the dealer that is most convenient for me is also the most expensive. I'm not sure if I'll be able to persuade him to match Dealer #3 or not, or at least get close.

BTW, I live in the SF Bay area. Everything is very expensive here, so I'm sure dealers can't survive if they discount as much as dealers in cheaper parts of the country. I've seen others say they've purchased a BX23 for $14,400, or even $15,500 to $16,000 with a MMM included. I have no hopes of getting that here.

Here are a couple of websites with prices to use as a guide:

http://www.aldermans.com/Kubota/kubotanew.html
http://www.kazez.com/~will/kubota.html

BTW, another recent post claimed the BX23 dealer markup is 27%. Not sure how valid this is, but is sounds like what I would expect given that some people are getting 20% discounts.